NRS 616B.422 - Insufficient assets to pay compensation due and maintain reserves.

NV Rev Stat § 616B.422 (2019) (N/A)

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1. If the assets of an association of self-insured public or private employers are insufficient to make certain the prompt payment of all compensation under chapters 616A to 617, inclusive, of NRS and to maintain the reserves required by NRS 616B.419, the association shall immediately notify the Commissioner of the deficiency and:

(a) Transfer any surplus acquired from a previous fund year to the current fund year to make up the deficiency;

(b) Transfer money from its administrative account to its claims account;

(d) Take any other action to make up the deficiency which is approved by the Commissioner.

2. If the association wishes to transfer any surplus from one fund year to another, the association must first notify the Commissioner of the transfer.

3. The Commissioner shall order the association to make up any deficiency pursuant to subsection 1 if the association fails to do so within 30 days after notifying the Commissioner of the deficiency. The association shall be deemed insolvent if it fails to:

(a) Collect an additional assessment from its members within 30 days after being ordered to do so by the Commissioner; or

(b) Make up the deficiency in any other manner within 60 days after being ordered to do so by the Commissioner.

(Added to NRS by 1993, 677; A 2003, 3344)

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NRS 616B.419 - Required reserves.

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NRS 616B.425 - Order by Commissioner to cease and desist; penalty for violation of order.